How brokers can help support vulnerable clients in times of need
July 2025
Life can change in an instant. Whether it’s bereavement, divorce, or sudden job loss, major life events can shake anyone’s sense of stability – both emotionally and financially. According to the Financial Conduct Authority (FCA), 47% of UK adults display one or more characteristics of vulnerability1, and while some of these are caused by long-term conditions or disabilities, many stem from these sudden life-altering events.
For brokers, recognising and supporting vulnerable customers is a top priority. Under the FCA’s Consumer Duty, brokers have a clear responsibility to recognise signs of vulnerability and respond with care2. This means offering tailored, empathetic support that helps clients achieve good outcomes, even in difficult times. Being proactive, patient, and flexible is key to helping clients navigate financial decisions during life’s most challenging moments.
How major life events can make customers vulnerable
Vulnerability can affect anyone at any time. Unexpected life events can affect a person’s ability to make informed decisions, reduce their resilience, and make it harder for them to engage with financial advice.
Because vulnerability isn’t always visible, brokers must stay alert to subtle cues like hesitation or confusion during a client conversation. Responding with patience and offering a flexible communication style is key to building trust and delivering the right support when clients need it most.
Dealing with difficult conversations
If a client is dealing with a difficult life event, brokers should always approach conversations with empathy and clarity. Thoughtful and non-intrusive questions not only help identify a client’s specific needs but can also build a trusting relationship. All of the above can help a firm meet their regulatory obligations under the Consumer Duty. Some questions might include:
“Have your personal or financial circumstances changed recently?” This gentle prompt invites clients to share relevant information at their own pace without feeling pressured or judged.
Another example might be: “Would you prefer more time or a different format of literature to review your options?” This question creates a space where the client can determine the pace of the conversation and how they receive the key information. As a result, your client may not feel rushed or overwhelmed.
By making room for open, supportive conversations, brokers can ensure clients feel understood and confident during times of stress or uncertainty.
How brokers can help: practical resources
To support clients through vulnerable periods, there are several practical tools and services available to brokers. One effective way to personalise support is simply to add a note, sometimes called a ‘flag’ to a customer’s record. Many lenders allow brokers to request these flags where appropriate, helping to ensure clients receive the extra consideration they may need during challenging times. Flags might include allowing more time for responses, simplifying communication, or involving a trusted third party. In cases of bereavement or other significant life events, specific flags ensure that clients are treated with greater sensitivity and care.
Brokers can also help clients navigate the support available under the Mortgage Charter. This includes measures such as temporary interest-only arrangements, payment holidays, or term extensions — all of which can offer vital breathing space for clients experiencing financial pressure due to a life event.
Additional services, such as power of attorney and bereavement support, can be invaluable for clients managing someone else’s affairs or coping with the loss of a loved one. Helping clients understand and access these options can provide reassurance and a greater sense of control during emotionally complex times.
It’s also essential that brokers obtain clear, informed consent before sharing personal information or requesting support on a client’s behalf. Doing so not only ensures transparency and trust, but also safeguards both the client’s privacy and the broker’s responsibilities under data protection and regulatory standards.
Vulnerability can affect anyone, and brokers must be ready to support clients facing emotionally or financially complex circumstances. By using personalised flags, maintaining clear and compassionate communication, and knowing when to escalate support, brokers can make a meaningful difference – helping vulnerable clients navigate challenges and move forward with confidence in their housing journey.
